4 sources·Business

UK Government Faces Pressure Over Electric Vehicle Mandate Amid Warnings of Job Losses

The UK's Labour government plans to review electric vehicle sales targets as Stellantis announces the closure of its Luton van factory, risking over 1,000 jobs.

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Updated: Nov 27th, 2024, 4:41 PM ET

Summary

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The UK Labour government is initiating a review of its electric vehicle sales targets following Stellantis' announcement to shut its Luton van factory, potentially jeopardizing 1,100 jobs. The stringent Zero Emission Vehicle (ZEV) mandate has raised compliance costs to nearly £6 billion for car manufacturers, causing major industry concerns. Despite previous growth in the sector, the push for increased electric vehicle production amid weak global demand and rising costs poses risks to future investment and jobs. Industry leaders warn that excessive regulation may push brands to exit the UK market entirely.

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